JSE closes weaker as banks and retailers lead the losers on firmer rand
Risk-off sentiment may see the all share weaken into bear-market territory, analysts warn, as weaker Chinese growth raises concern amid possible global trade war
The JSE started the week on a negative note, falling below 56,000 points for the first time in three weeks on Monday, amid concern that the local market could be heading for a full-blown bear market.Emerging-market sentiment was fragile after Chinese GDP growth came in at 6.7% in the second quarter, from 6.8% in the first. Asian markets closed flat to weaker on the news, with their European counterparts trending lower at the JSE’s close. The Dow was flat at the same time.A slightly firmer rand, at R13.20 to the dollar, failed to boost banks, financials and retailers ahead of the latest interest-rate decision by the Reserve Bank later in the week. Rates are expected to remain unchanged.Mining stocks retreated on weaker commodity prices, as Brent crude tumbled 3% to $72.62 a barrel, its lowest level in more than two months, amid rumours that Russia might increase production.International developments may result in the all share slipping into a bear market, Nedbank analysts Neels Heyne...
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